On July 4, the United States (US) celebrated its founding as a nation 248 years ago in 1776. There were no future citizens from India in the US at that time. The migration to the United States from India started in the early 19th century when Indian immigrants began settling in communities along the West Coast. Although they originally arrived in small numbers, new opportunities arose in middle of the 20th century, and the population grew larger in following decades. Today more than 3 million Indian immigrants reside in the United States and account for approximately 6 percent of the U.S. foreign-born population, making them the second-largest immigrant group in the country, after Mexicans and ahead of immigrants from China and the Philippines.
The first wave of Indian immigrants found work mainly in the agriculture, lumber, and railroad industries. Although their presence remained relatively small through the early the 20th century, they and other non-European migrants were the target of a series of laws in 1917, 1921, and 1924, which, among other exclusionary measures, eventually banned Indian immigrants altogether. While the Luce-Celler Act of 1946 established a yearly quota of 100 Indian immigrants, it was the 1965 Immigration and Nationality Act that removed national-origin quotas altogether, paving the way for non-European arrivals. Educational exchange programs, new temporary visas for highly skilled workers, and expanded employment-based immigration channels opened pathways for highly skilled and educated Indian immigrants, many of whom brought family led to 13-fold increase in the Indian Immigration population between 1980 to 2019. Today the United States is the second most popular destination for Indians living abroad, after the United Arab Emirates (3.4 million).
Indian immigrants are notable not only for their large numbers. Compared with both the overall U.S.- and foreign-born populations, Indian immigrants are more likely to be highly educated, to work in management positions, and to have higher incomes. They also have lower poverty rates and are less likely to be uninsured. Today, most Indians in the United States who obtain lawful permanent residence (LPR status, also known as getting a green card) do so through family reunification channels, either as immediate relatives of U.S. citizens or through other family-sponsored channels, although a sizeable share gain status through employment preferences.
In the 2014-18 period, immigrants from India were highly concentrated in California (20 percent), followed by Texas and New Jersey (each with 10 percent). The next three most populous states—New York, Illinois, and Georgia—were home to an additional 17 percent of the Indian population collectively. The top four counties by Indian concentration were Santa Clara County in California, Middlesex County in New Jersey, Alameda County in California, and Cook County in Illinois. Together four these counties were home to 15 percent of Indian immigrants in the United States. As of 2014-18, the U.S. cities with the largest number of Indians were the greater New York, Chicago, San Francisco, and San Jose metropolitan areas. These four metro areas accounted for about 30 percent of Indians in the United States.
Indians participate in the labor force at a slightly higher rate than all immigrants and the U.S.-born population. About 72 percent of Indian immigrants ages 16 and older were in the civilian labor force in 2019, compared to 67 percent of the foreign born and 62 percent of the native born. Indians were much more likely to be employed in management, business, science, and arts occupations than the overall U.S.- and foreign-born populations. Indians overall have much higher incomes than the total foreign- and native-born populations. In 2019, households headed by an Indian immigrant had a median income of $132,000, compared to $64,000 and $66,000 for all immigrant and U.S.-born households, respectively. In 2019, Indian immigrants were less likely to be in poverty (5 percent) than immigrants overall (14 percent) or the U.S. born (12 percent).
In 2019, Indians living abroad sent more than $83.1 billion in remittances to India via formal channels, according to World Bank estimates. Remittances to India have increased by 55 percent since 2010 and represented nearly 3 percent of the country’s gross domestic product (GDP) in 2019.
The Indian diaspora contributes significantly to the US economy, paying more than 5% of taxes. Last year, 4.4% of senior public service positions were held by Indian Americans, up from 1.7% in 2013. Indian Americans constitute 10% of all physicians in the US and serve approximately 30% of all patients in the country. Approximately 22,000 Indian Americans teach at US higher education institutions, and 35 out of the top 50 colleges (70%) in the US have an Indian American in their leadership.
Indian Americans are also highly entrepreneurial, having founded 11% of nearly 650 unicorns (startups valued at over $1 billion). Their entrepreneurial spirit is particularly evident in the hospitality industry, where they own 60% of all hotels in the US, generating $700 billion in revenue and creating 4 million jobs annually.
The secret behind the community’s financial success lies in its educational attainment and professional engagement. More than three-fourths of Indian Americans have at least a bachelor’s degree, and a similar percentage work in high-paying professions such as management, business, science, or the arts. This educational and professional excellence is reflected in the fact that 16 Indian American CEOs are leading Fortune 500 companies.
Summing up the Indian Americans are shaping the tech world, saving lives in healthcare, nurturing young minds as educators, creating cultural wonders as artists, expanding knowledge as scholars, and unravelling the universe’s mysteries as scientists. They are a powerhouse of talent, resilience, and diversity that enriches America. Whether through numbers or personal tales, their stories reveal the significant impact they have had on the American narrative. The community’s perseverance and accomplishments illustrate their vital role in American society, driving progress and unity.
In closing, it is important to recognise the role the US itself plays in providing a fertile environment for Indian Americans to maximise their potential through its diverse and inclusive landscape, which embraces talent from all backgrounds. A supportive infrastructure, combined with the American values of meritocracy and equal opportunity, helps Indian Americans unleash their full potential.
“If you take a grain of wheat, an agricultural commodity, and make it into a loaf of bread, the value add is only three times,” says legendary Indian American marketing scholar Jagdish “Jag” Sheth. “If you take a rough diamond and polish it, a good diamond cutter will get the brilliance out to about 15 to 20 times… but if you take a human being, mentor, nurture, educate, and give opportunities, the value add is infinite.”
This encapsulates what America has done for immigrants. Indian American immigrants have benefited from that investment. In return, they are shaping America’s future to unlock the potential of others.